Freddie Mac issued Guide Bulletin 2017-27 (Bulletin), setting forth servicing updates to the Single-Family Seller/Servicer Guide. In a previous Bulletin (Bulletin 2017-22), Freddie Mac announced that the current Imminent Default Indicator test used to determine borrower eligibility for a mortgage modification will be eliminated effective July 1, 2018 and replaced with a new rules-based imminent default evaluation process. This Bulletin states that Workout Prospector will be updated by February 26, 2018 to accommodate data submissions and reporting related to the new imminent default evaluation requirements, and provides guidance with respect to processing and reporting imminent default data using Workout Prospector.
In addition, the Bulletin announces: updated language that reflects the Manager Series reports and their new locations in the redesigned Servicer Performance Profile; that Freddie Mac will now purchase Texas Equity Section 50(a)(6) ARM loans (Freddie Mac previously restricted purchases to fixed-rate mortgages only); the addition of language prohibiting servicers from engaging in discriminatory business activities; revisions to cooperative share terminology (references to “Cooperative Share Mortgage” have been changed to “Cooperative Share Loan” and the use of certain terms have been standardized); updated language affirming the prohibition against servicer sharing of the Freddie Mac Exclusionary List with related third parties, except as expressly permitted; revisions to Form 1205 (Post-Settlement Correction Request); and the addition of specific Legal Division contact information to the Directory (to accommodate a servicer’s request to disclose confidential information). The added language with respect to discriminatory business activities is effective March 15, 2018. All other updates are effective immediately.
